In the world of the Entrepreneurial Operating System®, there is a core truth that every high-growth company eventually faces: your business is only as good as the people running it. You can have the best product, the most innovative marketing, and a massive war chest of resources, but if you don’t have the right people in the right seats, you will eventually hit a ceiling.
This is the people component of the EOS® Model, and one of the foundational tools used to master it is the EOS People Analyzer™.
In my time as a professional EOS® implementer, I’ve found that many leaders spend years managing people through “gut feelings” or “vibes”.
They have a “hunch” that an employee isn’t a good fit, or they feel a lingering sense of frustration that a certain department isn’t hitting its objectives. But “hunches” don’t build great companies. To achieve true traction, you need a transparent, objective process to evaluate your team members.
You need a tool that takes the emotion out of the hiring and review process and replaces it with alignment.
What is the EOS People Analyzer™?
The People Analyzer tool is a simple, one-page document that helps the leadership team determine if they have a “Right Person” in a “Right Seat.” In the Entrepreneurial Operating System, we define these two concepts very specifically:
- Right Person: Someone who shares and exemplifies your company’s core values. They fit your organization’s culture like a glove. They are the kind of person you want to surround yourself with every day.
- Right Seat: Someone who GWC’s™ their seat. (They Get it, Want it, and have the Capacity) to excel in their specific job or position. This means their skill sets and natural abilities align perfectly with the role defined in the accountability chart.
The People Analyzer® works by forcing you to look at these two fundamental questions separately. Often, managers confuse the two. They tolerate a “wrong person” (someone who violates values) because they are a “high performer” in their seat.
Or, they keep a “wrong seat” (someone who can’t do the job) because they are a “great person” who everyone loves. Both scenarios are challenges that prevent an organization from reaching its full success.
How to begin: define the bar
Before you can use the People Analyzer™ to assess your team, you must define WHO you are as an organization. This starts with your core values. These are the 3 to 7 guiding principles and behaviorsthat define your culture. Without a clear set of values, you cannot effectively lead or evaluate your employees.
Once your values are set, you must establish “The Bar.” The Bar is the minimum acceptable standard for core value alignment. For example, if you have five core values, your bar might be “three pluses and two plus/minuses, with no minuses.” This ensures that every person in the organization is a cultural align with the company’s vision.
After you define “The Bar” for core value alignment, you must assess whether people are in the “Right Seat” by evaluating the “Want It” (W) component of GWC™.
It is important to assess if employees are operating in their Unique Ability, a concept that the Delegate and Elevate tool can help with. During the interview process, look for prospective employees who describe the job with a genuine sense of purpose; if you have to beg or bribe someone to do the real work, they do not truly want it.
For a person already in the seat, their day-to-day tasks should ideally fall into the top two quadrants of the Delegate and Elevate tool….tasks they love and like to do, and are good or great at…which represents their Unique Ability. This alignment between passion and responsibility is intrinsically linked to the “W” in GWC™.
The Step-by-Step Guide to Implementing the People Analyzer™
Step 1: Live Your Core Values
At the top of your People Analyzer™ tool, you have to list your company’s core values and actually live them. These should be the same values you established in your V/TO™. If you don’t yet embody your core values, you are setting yourself up for failure as the People Analyzer™ tool truly tests your ability to live your company’s core values in a way that is evident through hiring, firing, feedback, and rewarding.
This is foundational to building a healthy company culture, in the full knowledge that if you’re taking all these steps, but continue to tolerate the wrong people in your business, it’s all for nothing.The fastest way to lose your A-star people on your team is to keep them working with a wrong person day in and day out. This is the fastest route to attrition and crumby culture.
Step 2: List Your Team Members
In the left-hand column, list the names of the employees you are reviewing. While the leadership team should begin by reviewing each other, eventually, every person in the company should be put through this assessment.
Step 3: Rate for Core Values
For each person, look at each core value and assign a rating:
- (+) Plus: They exhibit this value most of the time.
- (+/-) Plus/Minus: They exhibit this value some of the time.
- (-) Minus: They rarely exhibit this value.
This provides immediate insights into core value alignment. If a person is consistently getting minuses, they are a wrong person for your culture, regardless of their skills.
Step 4: Evaluate for GWC™ (The Right Seat)
Now, look at the Right Seat side of the tool. This is where you evaluate if they fit their position on the accountability chart. You must answer three fundamental questions:
- Get It: Do they naturally “click” with the responsibilities of the seat?
- Want It: Are they passionate about the job? Do they get up in the morning eager to perform?
- Capacity: Do they have the mental, emotional, and physical capacity to excel? This includes their skill sets, training, and available time.
For GWC, the rating is a simple “Yes” or “No.” To be in the right seat, the person must be a “Yes” on all three.
Addressing the Outcomes: Right Person vs. Right Seat
Once the assessment is complete, you will likely identify four types of employees:
1. The Right Person in the Right Seat
These are your superstars. They share your values and excel in their seat. Your goal is to retain team members in this category by providing them with support, one-on-one time, and opportunities for promotion into larger roles.
2. The Wrong Person in the Wrong Seat
This is the easiest decision. They don’t fit the culture, and they can’t do the job. These individuals must be coached out of the organization quickly to protect the health of your business for both culture and traction.
3. The Right Person in the Wrong Seat
This is a common challenge for companies. This person aligns culturally, but they are struggling in their current position. Perhaps the job has outgrown them, or their skills aren’t a match. The leadership team should look at the accountability chart to determine if there is another seat where this person can excel.
4. The Wrong Person in the Right Seat
This is the most dangerous person in your business. They are a “high producer” who consistently hits their objectives, but they are a “toxic” fit for your culture. They violate your core values, and by keeping them, you are telling the rest of your team that your values don’t actually matter. To achieve long-term success, you must have the courage to remove these individuals, even if it means short-term pain.
The Benefits of a Consistent Review Process
Implementing the People Analyzer™ as a regular part of your review process offers several benefits:
- Clarity: It provides managers and employees with a clear assessment of where they stand.
- Focus: It allows the leadership team to focus on outcomes and hiring strategies that work.
- Alignment: It ensures the entire team is moving toward the company’s vision with a shared set of values.
- Reduced Stress: Taking the emotion out of managing people reduces the “drama” in the office.
Common Challenges and How to Overcome Them
Many companies struggle when they first use the People Analyzer™. They find it “harsh” or “too black and white.” However, the fundamental questions asked by the tool are essential for growth.
One of the crucial challenges is “The Bar.” Often, leaders set the bar too low because they are afraid of losing employees. But a low bar leads to a mediocre culture. If you want to achieve rocket fuel levels of growth, you must maintain a high standard for core value alignment.
Another challenge is the “C” in GWC™. Capacity can often be solved with training and resources. If a person “Gets it” and “Wants it,” but lacks capacity, the organization should evaluate if additional training or a shift in responsibilities can bridge the gap.
When going down the training route, it’s worth noting also that it is important for businesses (especially small businesses) to be honest about the commitment involved in training, even if they have the luxury of time and resources to invest in the team member.
It’s also why I like to encourage organizations to be intentional about the professional development opportunities within the business. For example, the work we do in the session room together with leadership over time really is management and leadership training.
While many businesses don’t think of it that way, the foundations that make up the EOS system can be considered management training 101. The EOS system teaches various aspects of management that range from how to conduct a good meeting, how to better communicate and gain alignment, to how to set clear priorities, etc.
Integrating the People Analyzer™ with Your Leadership Practice
To make the People Analyzer™ work effectively, it shouldn’t just be a “once a year” document. It should be part of your Quarterly Conversations – one-on-one conversations that give you an opportunity to check in and provide constructive feedback and coaching. Use it during your one-on-one time to provide constructive feedback.
When hiring new team members, use the GWC™ framework to assess potential candidates. When promoting from within, look at the accountability chart to identify if the person has the capacity for the new seat.
By effectively implementing these EOS tools, you create a transparent environment where everyone knows exactly what is expected of them. You move from a business run by “feelings” to an organization run by data and alignment.
Final Thoughts: The Traction Path
The EOS People Analyzer™ is more than just a tool; it is a commitment to your organization’s culture. It is about having the courage to identify the right people and ensure they are in the right seats.
If you are ready to stop “guessing” about your team and start leading with clarity, the People Analyzer™ is your first step. It will help you evaluate your current team, refine your hiring process, and ultimately, achieve the vision you have for your business.
As an added bonus, my clients also have access to online supplemental learning portals such as Transformation Academy, Lead the way, and How to be a great boss (all at an additional cost) to help improve the leadership skills of middle managers and aspiring managers. If you’re stuck and need some guidance through the process, don’t forget that help is always available. Reserve a 30-minute slot in my calendar to discuss your concerns.
